TKOC ticks clock on olefins II

22 October 2004
The Kuwait Olefins Company (TKOC)has invited engineering, procurement and construction (EPC) contractors to submit bids by 16 January for the ethylene package on its estimated $1,500 million olefins II project. TKOC is a joint venture of the local Petrochemical Industries Company (PIC), the US' Dow Chemical Companyand local investors.

It is unclear how many EPC contractors have been invited to bid for the estimated $550 million first-phase package, which calls for the construction of an 850,000-tonne-a-year (t/y) ethane cracker. However, it is understood that Paris-based Technip, which is providing its ethylene technology for the cracker, is among the EPC prequalifiers. TKOC is expected to make an award in the second quarter of 2005. Construction will take 22-24 months.

The ethane cracker will provide feedstock to a 600,000-t/y ethylene glycol/ethylene oxide unit, 400,000 t/y of new polyethylene capacity and a 300,000-t/y ethyl benzene/styrene unit, all of which will be tendered separately. TKOC is also planning a major offsites and utilities package. Tendering on the other packages is expected to begin by the end of the year.

The US' Fluor Danielis providing project management consultancy (PMC) services to TKOC. Societe Generaleis the financial adviser (MEED 6:8:04).

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